Identify differentiating competitive advantages of the brand you have chosen. Howmany differences does the company promote and which ones are they? Ferrero’s competitive advantage and differences offered in their product. Today’s Ferrero growth strategies are mostly based on its own strength such as brand development in the worldwide market rather than a development in scope of Europe market. Their success was achieved by excellent products which are offered to the market under band name of Nutella and Rocher, for example (Cambireri 2011).
Some of the competitive advantage and differences they are creating compared to competitors will be analyzed in the following points. Firstly, innovation is one the most competitive advantage of Ferrero which are always reflected in all new products in the market. They are developing and achieving the success through supporting Ferrero core brands rather than they do business through mergers or acquisitions as most of successful companies in the market.
At this point, their new products are always kept up to changes in the consumer preferences and needs, which distinguish their products from other competitors and create an impression for customers after they using Ferrero’s products and services. For example, when one of their products, say Kinder Joy was developed in 1960s, the guidelines for using this product included a portion control which helps parents moderate their children’s consumption.
This special feature of the product makes Kinder Joy brand become very popular choice for all parents all around the world(Food & Beverage Reporter, 2009).
The Research paper on Does Your Company Have A Competitive Advantage
Does Your Company have a Competitive Advantage? Krispy Kreme Doughnuts, Inc. was created in 1937 by Vernon Rudolph. Nowadays Krispy Kreme Doughnuts, Inc. is a popular chain of doughnut stores that offers quality coffee roasting at significant discounts because of direct buying channels and unique know-how recipes, new improved coffee and new Hot Doughnut Machine technologies. According to MSN ...
Secondly, Ferrero owns some well-known brand such as Ferrero Rocher, Nuttela. It is playing important role in make consumers all around the world well recieved and accept its range of products. Consumers are not only directly using the product of Ferrero, but also, they are buying these products as special gift for their friends and relationships in the important day such as Mother’s days or Christmas (Food & Beverage Reporter, 2009).
Thirdly, Ferrero’s in-store execution is also a key advantage for the brand of Nuttela which will help the company achieve greater sales in these products because they are very adaptable to changing needs of the market in different occasion. Therefore, their products are always available in the store to supply for key occasions such as Easter and Valentine’s Day (Food & Beverage Reporter, 2009).
Fourthly, the foundation of some large manufacturing plants is eventually likely to make some products of Ferrero become more mainstream. They developed 80% of its all factory and seem independently to operate the production process so that they can control and monitor the highest quality of products as well as offer a reasonable price to consumer at different market segmentation. This special ability of Ferrero also bring another advantage is that competitors will find difficulty in nominate the product features of Ferrero.
In addition, the development of a large portfolio in global market resulting in an extensive range of Ferrero brands and makes them more popular in the secondary market (Food & Beverage Reporter, 2009) Lastly, they offer not only good quality for products but also make the physical feature become more outstanding. For example, they create Nuttla jar larger as about 5% as than their competitors’ products. The larger jar will help the company achieve competitive edge because it attracts more American consumers because some suppose that the bigger the better (Brandluxuryindex, 2001).
Positioning statement The Ferrero company has different range of products for targeting different kind of people. We can see from Ferrero Rocher products which is targeting luxury chocolate for special occasion with main competitors like lindt chocolate and Belgium chocolate and they try to compete with same quality with chipper price. Moreover they are targeting inexpensive market to compete with kitkat and Mars with surprising kinder eggs.
The Essay on Chocolate Market Research
Table of Content Chocolate History3 1. Market Area3 2. Market Structure 3. Market 4. Market Dynamics 5. Market evolution 6. Market conjuncture 7. Demand and offer 8. Prices and tariffs 9. Imports and exports Chocolate History Chocolate has been used as a drink for nearly all of its history, but until the 16th century, no European had ever heard of the popular drink from the Central and South ...
In order to be successful in chocolate market this company came to an new idea by differentiating new taste and new technology of making chocolate like Ferrero rocher which has rounded shape and kinder eggs which has surprising gift for entertaining children. Positioning map Interoperation of positioning map The positioning below is showing that how Ferreo targeting chocolate market with a premium brand like Ferrero rocher and how this company want to perceived by the premium brand and kinder brand want to perceived as low price with low quality in chocolate. They are two main competitors in these areas like Belgium chocolates which have better quality(Quality means means differentiation in taste in this case because there isn’t any definition of quality in choclate) but the price is higher in luxurious market and kit kat in inexpensive product which targeting low price market. Perceptional map Interoperation of perceptional map Perception of different kind of people about the product which company was targeting wasn’t that much different!
From what we gathered, all people categorized low price chocolate perceived in the same position while perception of premiums chocolate were as similar as positioning map. This analyzing showed that what this company is targeting is appropriate but they are medium quality with medium price gap between this map which this company try to make it complete by introducing other brands like kinder bueno and happy hippo brands.
